Amgen Inc. and AbbVie Inc. said early Thursday that they have reached a settlement over Amgen's biosimilar rival to AbbVie's blockbuster medication Humira. Under the agreement, Amgen expects to launch its biosimilar Amgevita in the U.S. at the end of January 2023 and in Europe in mid-October 2018. AbbVie shares surged 4.4% in morning trade on the news. The two companies, which said they would dismiss all pending litigation, did not disclose financial terms of the agreement. Biosimilars are a new class of drugs that essentially replicate existing treatments for complex diseases like cancer, multiple sclerosis and diabetes, but at lower costs. However, a number of factors have made their uptake sluggish, patent litigation chief among them. Humira, which is the world's top-selling drug, has been a key target for biosimilar competition, but with more than 70 patents shielding it, AbbVie has long said the drug should be protected from competition until at least 2022. Amgen shares were inactive in premarket trade. AbbVie shares have surged 21.3% over the last three months, compared with a 2.7% rise in the S&P 500 .

Sep. 28, 2017 at 9:50 a.m. ET

by Emma Court

Amgen and AbbVie did not disclose the settlement's financial terms

Amgen and AbbVie did not disclose the settlement's financial terms

Sep. 28, 2017 at 8:20 a.m. ET

by Emma Court

Amgen expects to launch its Humira biosimilar in the U.S. in 2023

Amgen expects to launch its Humira biosimilar in the U.S. in 2023

Sep. 28, 2017 at 8:20 a.m. ET

by Emma Court

Amgen and AbbVie say they have reached a settlement over rival drug to AbbVie's Humira

Amgen and AbbVie say they have reached a settlement over rival drug to AbbVie's Humira

AbbVie Inc. shares surged 2% in premarket trade Friday after the company reported second-quarter profit and revenue beats. Earnings for the latest quarter rose to $1.92 billion, or $1.19 per share, from $1.61 billion, or 98 cents per share in the year-earlier period. Adjusted earnings-per-share were $1.42, compared with the FactSet consensus of $1.40. Revenue rose to $6.94 billion from $6.45 billion, compared with the FactSet consensus of $6.93 billion. Revenue for anti-inflammatory Humira came in at $4.72 billion, above the FactSet consensus of $4.64 billion. Revenue for cancer drug Imbruvica came to $626 million, above the FactSet consensus of $608 million. Revenue for the Hepatitis C therapy Viekira came in at $225 million, below the FactSet consensus of $251 million. Revenue for the therapy Lupron, which is used to delay the onset of puberty, came in above the FactSet consensus, and revenue for digestive drug Creon came in just below the FactSet consensus. The company also confirmed its 2017 EPS and adjusted EPS guidance. AbbVie shares have surged 8.8% over the last three months, compared with a 3.8% rise in the S&P 500 .

With funding from Goldman Sachs and Google’s parent, the Chicago-based firm reported a $5.5 billion valuation. The company says it is reviewing allegations against employees and has strengthened policies.

The science of using immunotherapy to treat cancer is advancing rapidly, marked by the National Cancer Institute’s recent disclosure that a metastatic breast-cancer patient is now cancer-free, regulators’ expected approval of a major lymphoma treatment this fall and the unveiling Thursday of a partnership between government researchers and drugmakers.

Drugmakers AbbVie and Amgen reached a patent-dispute settlement requiring Amgen to wait until 2023 to start selling a lower-priced copy of the world’s top-selling drug, AbbVie’s arthritis treatment Humira, in the U.S.

A federal-court jury in Chicago ordered drugmaker AbbVie to pay $150 million in punitive damages to an Oregon man after finding the company liable for fraudulent misrepresentations about the safety of the testosterone-replacement therapy AndroGel, according to court records.

With funding from Goldman Sachs and Google’s parent, the Chicago-based firm reported a $5.5 billion valuation. The company says it is reviewing allegations against employees and has strengthened policies.

AbbVie Inc.

AbbVie, Inc. is a research-based biopharmaceutical company. It engages in the discovery, development, manufacture and sale of a broad line of proprietary pharmaceutical products. The company focused on treating conditions such as chronic autoimmune diseases in rheumatology, gastroenterology and dermatology; oncology, including blood cancers; virology, including hepatitis C and human immunodeficiency virus; neurological disorders, such as Parkinson's disease; metabolic diseases, including thyroid disease and complications associated with cystic fibrosis; as well as other serious health conditions. The company was founded on January 1, 2013 and is headquartered in North Chicago, IL.
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